An Act to establish a sales tax exemption for certain disabled veterans.

Be it enacted by the Legislature of the State of South Dakota:

Section 1. That a NEW SECTION be added to chapter 10-45:

There are exempted from the provisions of this chapter and from the tax imposed on it, the gross receipts from sales of tangible personal property, any product transferred electronically, and services to a veteran who is rated as permanently and totally disabled from a service-connected disability. The amount of gross receipts exempt under this chapter in any year for any veteran may not exceed twenty-five thousand dollars.

Section 2. That a NEW SECTION be added to chapter 10-45:

To receive a veteran sales tax exemption card, a veteran who is rated as permanently and totally disabled from a service-connected disability may submit an application to the secretary of revenue containing all documentation required to determine the eligibility of the applicant.

The secretary of revenue, after verifying the eligibility of the applicant, shall issue a veteran sales tax exemption card to the applicant. A person owning a veteran sales tax exemption card may present the card to a retailer at the time of a sale to receive the sales tax exemption provided in section 1 of this Act.

The secretary shall promulgate rules pursuant to chapter 1-26 to adopt forms for a veteran sales tax exemption card.